Facebook has been Meta for well over a year. The social media goliath announced the name change amid a flurry of corporate crises and scandals, but primarily to position itself as a broad spectrum of technology applications rather than 'just' a social media platform.
Pritish Bagdi
Courtesy: Meta corporate media
Meta promised to be a pioneer in the metaverse realm, where the near future of a more connected world would bring exciting new virtual environments where users work, socialise and play. Meta, in turn, would be in the thick of it, and a leader in developing new services and products for users.
In the metaverse, where fascinating new virtual spaces where users work, socialise, and play will soon be introduced in a more linked world, Meta promised to be a pioneer. In response, Meta would be at the forefront and a pioneer in creating new services and goods for customers.
Challenges to come
One year later, Meta has still not seen a return on the billions of dollars it has invested and is still investing. From virtual reality headgear, which have at best had mixed reviews, to the metaverse itself, which is still a long way from being widely used. Even after spending time in different realities, the majority of people are still unable to define what the metaverse actually is.
Many in its corporate hallways believe the firm is overspending for the modest aims it has achieved, which is why Meta's stock has fallen by 70% in the past year as a result of its investment plan in the metaverse.
In an open letter published last year, Meta's CEO Brad Gerstner said that the company "drifted into the region of excess - too many employees, too many ideas, and too little urgency." He additionally urged the business to cap spending on the metaverse at no more than $5 billion annually.
14 billion dollars in annual losses
Meta has a defined function and capability in creating new technologies, which is essential for the future to be enhanced and artificial intelligence to be more extensively used. However, according to the Sydney Morning Herald, the company's AR and VR development division, Reality Labs, is losing 14 billion dollars annually. The New York Times reported in October that Meta's employees were unhappy with the company's strategy change because it tied them "to Mr. Zuckerberg's whims rather than a cohesive plan."
Naturally, there are many long-term factors to take into account when reshaping a company that is on the verge of another technology revolution.While the metaverse, like Rome, did not rise in a day, it has made little, incremental strides in its invention, and its VR products and devices have not yet reached the general public.
In December, Meta reiterated that the shift is still in the planning stages. "We believe 2022 will be recognised as the year that developers and users first got their hands on the fundamental technological components allowing our vision for the future."
Nobody is certain of when that "first time" will occur for a larger audience.